- Tomorrow (10 July) will outline how he will
unlock capital for high-growth businesses and boost outcomes
for pension savers, guided by ‘three golden rules’.
- Chancellor to use first Mansion House speech to set out how
Britain’s financial services sector will support the Prime
Minister’s priority to grow the economy.
- Measures will mean that more investment is available for
high-growth businesses, which are key to creating good jobs,
opening up opportunity and contributing millions in tax receipts.
Chancellor will deliver his first Mansion
House address tomorrow (10 July) setting out how Britain’s
financial services will support the drive for long-term
sustainable growth across the country.
In front of an audience of CEOs and leaders from the sector in
the City of London, the Chancellor will set out his “Mansion
House Reforms” to drive the Prime Minister’s priority to grow the
economy by making the UK the most innovative and competitive
financial centre in the world.
The financial and related professional services industry employs
over 2.5 million people – something Hunt will describe as
starting from a “position of strength” - and generates more than
£100 billion in tax revenue, paying for half the cost of running
the NHS.
He will also hail the importance of the traditionally “nimble”
and “agile” sector for Government’s vision of Britain as a
science superpower and the world’s next Silicon Valley.
The Chancellor is expected to say:
“I want to lay out plans to enable our financial services sector
to increase returns for pensioners, improve outcomes for
investors and unlock capital for our growth businesses.”
The reforms will not only help create jobs and increase tax
revenues – which ultimately helps to fund vital public services –
but will also lead to better returns for pension savers in the
long term.
The Mansion House Reforms will be guided by the Chancellor’s
three golden rules. He is expected to say:
“Firstly everything we do we will seek to secure the best
possible outcomes for pension savers, with any changes to
investment structures putting their needs first and foremost.
“Secondly we will always prioritise a strong and diversified gilt
market. It will be an evolutionary not revolutionary change to
our pensions market. Those who invest in our gilts are helping to
fund vital public services and any changes must recognise the
vital role they play.
“The third golden rule is that the decisions we take must always
strengthen and never compromise the UK’s competitive position as
a leading financial centre able to fund, through the wealth it
creates, our precious public services.”
Hunt is expected to announce a wide-ranging package of measures
that build upon the Edinburgh Reforms announced in December last
year and deliver upon the vision that the Prime Minister himself
set out at Mansion House in 2021 – with a smarter rulebook
tailored for Britain’s needs.
On the economic headwinds facing the UK economy, the Chancellor
will say that there can be “no sustainable growth without first
eliminating the inflation that deters investment and erodes
consumer confidence” and promise that the government will
continue to honour its “responsibilities to those struggling the
most” in the face of inflation.
